Rocket Scientist

What does it Mean? In the world of finance, these are people with science and math degrees who work in the finance field building highly advanced quantitative finance models. These models help banking, insurance and investment firms to price financial instruments.
Investopedia Says... If an investment firm hires a PhD student with a background in theoretical physics to create a model that prices futures and options, that person would be considered a "rocket scientist" by the traders in the investment firm because of the complexity and skill required to create these models that help traders of futures and options.

Terms Related Links

Derivative
Financial Engineering
Futures
International Association of Financial Engineers - IAFE
Options
Qualitative Analysis
Quantitative Analysis

Terms Related Links
Einstein's Stock Tips: Gravity and Growth - Can applying the theory of relativity help you pick a stock? Find out more here.

Futures Fundamentals - For those who are new to futures but want a solid understanding of them, this tutorial explains what futures contracts are, how they work and why investors use them.

Options Basics Tutorial - An introduction to the world of options, covering everything from primary concepts to how options work and why you might use them.




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